Evening star. [volume] (Washington, D.C.) 1854-1972, 1887-09-05

IL In the CulmfnatiOn Of Plans Laid
/ Five Years Ago.
| THE WORK ON STATEN ISLAND NOT 10 BIZ INTER-
| RuPrED-ROBERT GARRETT SAID TO Be TIE VICTIM
| OF HIS FATHER's AMBITION.
| The favorable effect upon the New York stock
/ market made by the announcement of the Balti-
| more and Ohio deal, as was stated In TIE STAR
| saturday, continued during the day. and though
| some or the weaker men were swamped under the
bull cyclone, the advance In the market was hailed
with qualification by those who had predicted that
the stock exchange was dying Of dry-rot, and that
| its patronage had been ignOminiously distributed
| among the bucket-shopS and rival institutions
| Russell sage, Deacon White, Henry Clews and
George Gould all expressed the opinion according
| TO the New York Sun, that the settlement of the
| Baltimore and Ohio Railroad trunks was one OF
the most fortunate things that has happened to
Wall street for a long time.
HISTORY OF THE DEAL
The significance OF the great undertaking is not
even now thoroughly appreciated. 1t is the cul-
mination OF plans that were laid nearly five years
ago, which the New York Central West Shore reor-
ganizatlOn began to agitate the financial and rail-
road The vigorous railroad carried between old
Com. Vanderbilt and elder Garrett were left as a
heritage TO their eldest sons. The Pennsylvania
not so much from love Of the New York Central
anu tne NanuerolItS as from wholesome fear Of
the Baltimore and Ohio as powerful rival, had
succeeded all along in successfully shutting out
the Baltimore and Ohio from New York. 1t Is
true that Bob Garrett gained entry into Phila-
delphla, but at ruinOuS cost. The New York Gen.
tral-West Shore reorganization was projected and
carried through by the house OF DreXel, Morgan &
Co., a house thoroughly friendly to the Pennsyl-
vania, and step by step from that time the New
YORK Cenral and the Pennsylvania had forced Bob
Garrett to the wall Shortly after the success of
the New YORK Central West Shore reOrgani-
cation, and soon after his fathers death, Mr.. Gar
ret began TO talk OF the and responsibilities
OF railroad presidents life. just about that time
ne was borrowing money right and left to build
mis- road into Philadelphia and not long afterward
BEGAN TO TALK OF RETIRING
from his place at the head Of the Baltimore and
Ohio system. With his old antipathy to the Penn
sylvania people, he turned to VIM. H. Vanderbilt
They had frequent conferences On the subject OF
throwing the control OF the Baltimore and Ohio
into the hands Of Mr.. Vanderbilt, with the New
York Central In dominant control. 1t was for
this purpose that Mr.. Garrett called on Mr. VAN
derbilt on December g. 1885, the day that Wander
bilt died suddenly in CARROTS presence Since
then Mr.. Garrett has been 10 frequent communica-
| ton with Cornelius Vanderbilt and President
Chauncey NJ. Depew with the purpose in view OF
turning over his Inheritance TO the Vanderbilt
| Sully and Iatterly with Henry S. Ives followed
| and when all failed Drexel Morgan & Co.. the re-
organizers OF the West Shore and the Philadelphia
and Reading, stepped in.
| ONLY TWO EASTERN TRUNK LINES.
| When the details OF the plan to put the Balti-
more and Ohio on a substantial footing are COM
| pleted 1t will be shown that the road. with the
Richmond and Terminal-Jersey Central Reading
system, Will be to the Pennsylvania what the Lake
Shore and Canada Southern are to the New York
Central-West Shore system. Thus, practically,
I the New York central and the Pennsylvania will
| be the only two great Eastern trunk lines and
| harmony In the matter OF freight and passenger
Traffic will prevail. While the Street is place for
hustle and haste the steps leading up this great
| union OF interests have been Slow and carefully
| taken. To accommodate the increased traffic COM
Ing Into Jersey CITY II Is stated that additional
tracks will be bull! from Bound Brook to Jersey
CITY, and that large and much-needed depot
VIII be built on the water 'front.' which some
| say has already been acquired by the Penn
sylvania about Cavan Point. This is the water
| front that the Baltimore and Ohio was said
| to have purchased 5000 feet of in 1886.
The question has been raised whether the Bal,i-
| more and Ohio syndicate Will push forward the
work on the proposed extension OF the Baltimore
and Onio TO the Arthur KILL there to connect with
the staten Island Rapid Transit road 1t Was said
Saturday for Drexel, Morgan & Co. and Kidder,
Peabody co. that this proposed enterprise OF the
Baltimore and Ohio would be carefully considered,
but that nothing definite would be decided upon
for some time. Lawyer BOardman. speaking for
President j. Frank EmmOnS OF the Staten Island
Co., said that there may be some delay in the mat
ter, but that he had reason to believe that
the Baltimore and Ohio would not carry out It's
agreement.
THE TELEGRAPH LINES.
The committee OF experts appointed at the
instance of MIR. Jay Gould and the Western Union
Telegraph Company to examine the books and
equipment OF the Baltimore and Ohio Telegraph
Company have handed in their report and Russell
Sage, speaking OF the matter last night, said that
Under no clrcumSt anceS would the Western Union
pay more than 100000 for the Baltimore and
Ohio Telegraph Company. Indeed, he added ut
is question whether We will pay even that price
We are masters Of the situation The Western
l MON Is the only company that can buy the B.
and o. and the b. and U. people are 1ully aware OF
that fact" 1t IS accepted by many that the West
ern I MON already controls the Baltimore and Ohio
Telegraph Company, and will formally take pos
session in few days.
IVES TALKS ABOUT HIS RIGHTS.
Ives still impudently insists that not one of his
''rights' has been waived, and that he is sure to
get damages out OF Garrett Ives assignee. Mr..
Cromwell, says on Information and belief that
Garrett signed contract with Ives to deliver the
Baltimore and Ohio for certain consideration.
Mr. Cromwell believes that there Is no doubt that
such contract was signed, but that Mr.. Garrett
signed II for himself, and any remedy in law must
be gotten from him personally. Mr.. Cromwell has
not been able to fnd the contract among Ives
CO.'S assets According to Ives yarn he paid Gar
rett $2OO,OOO In cash and $1,56O,OOO In the pre-
ton. Ives tells his assignee that he paid for this
STOCK but the books that could tell whether he Is
telling the truth or not are missing, and thus Mr.
Cromwell Is In a mess with his suit against Gar
retI.
DEFENDING GARRETT
A Baltimore special to the Philadelphia Press
OF yesterday gives an interview With prominent
stock broker who Is cOnfidentially connected with
Garrett in which he says: "Robert Garrett has
| been largely the victim Of his fathers ambitions
John W. Garrett wanted a national reputation In
everything. He wanted not only 10 have line
through To New York, so that his name would be
placed alongside OF those OF Vanderbilt and
Gould, but he wanted TO be at the head OF the
telegraph, the express, the Sleepngcar and other
business as we'll All OF those enterprises he pro-
Jected before his death. They did not prove so
very costly while he lived because they were un-
developed. IL Was when he died and when Robert
succeeded him that the great expense began.
Robert tried TO carry out all the ideas Of his
father, and IL you will look up the his
tory of his administration you will find
that he has done nothing that was
not contemplated and begun during his fathers
lifetime. What was the result? The telegraph
the express, and the sleeping-car scheme encOun-
tered the opposition OF three OF the greatest and
was, as matter OF course, costly, and was drain
on the treasury OF the road. Then there was the
Philadelphia road, which cost twice as much as
was expected, and which has not paid expenses
since IL was opened. Added to all this was Gu
riouS and oppressive arrangement, called a sink
Ing fund, which took every year If ,n the earn
ings OF the road something like $500 600 for the
payment or nortg geS when they mat red. This
Was strong combination OF circumstances to
altogether.
| THE WORK ON STATEN ISLAND.
"The contract gives the road a sound financial
basis IL enables II TO get rid or outside arrange
ents, and 1t gives 1t line to Staten Island This
| talk about Staten Island being abandoned Is all
nOnSence. The contracts for the Kill Won Kull
DrluSe are all OUT ana TWO large iron steam ferry
boats are being constructed here In Baltimore for
staten Island business All that IL Will be neces-
sary for the Baltimore and Obio TO do Is TO build
4 from h.sD